A crypto expert has shared his perspective on Bitcoin (BTC), Solana (SOL), and other major digital assets, pointing out that the recent market trends suggest a “bear trap” rather than a long-term downturn.
This type of market behavior happens when prices decline temporarily, tricking investors into thinking that a bearish phase is starting, only for the market to quickly recover.
The analyst, known as InvestAnswers, reassured crypto investors that despite the recent drops, he’s still optimistic about the long-term bullish trend for the crypto market.
He emphasized that he believes Bitcoin, currently sitting at around $81,600, is experiencing a typical market correction and remains in a positive trend. His analysis highlights the formation of a “double bottom” pattern on Bitcoin’s price chart, which typically signals a price reversal in the upward direction.
On Solana, the analyst expressed strong confidence in its undervaluation. He argued that if Solana were priced similarly to Bitcoin, based on factors like user engagement and transaction volume, its market cap could be a staggering $24 trillion, far exceeding Bitcoin’s current $2 trillion valuation.
While he acknowledges Bitcoin’s role as a store of value, he believes Solana’s potential will become clearer in time, though its ascent is still uncertain.
As Bitcoin continues to consolidate above $100K, a critical market signal is flashing: BTC funding rates remain elevated, even as price action cools.
Billionaire investor Ray Dalio, founder of Bridgewater Associates, has suggested that a balanced investment portfolio should include up to 15% allocation to gold or Bitcoin, though he remains personally more inclined toward the traditional asset.
With Bitcoin hovering near $119,000, traders are weighing their next move carefully. The question dominating the market now is simple: Buy the dip or wait for a cleaner setup?
Bitcoin has officially reached the $116,000 milestone, a level previously forecasted by crypto services firm Matrixport using its proprietary seasonal modeling.